Consulta: subjectFacets:"Emissions trading"
Registros recuperados: 41
Data/hora: 11/06/2024 15:30:44

The role of real options analysis in the design of a greenhouse gas emissions trading scheme
Provedor de dados: 31
Autores: Lambie,   Neil Ross.
Analysing the effect of a greenhouse gas emissions trading scheme (ETS) on energy-intensive industries using a simple model of the long-run equilibrium fails to fully capture the design implications of a scheme. When we allow for imperfect market structures and uncertainty, it is more useful to focus on how an industry is affected by the scheme’s design in moving to its long-run equilibrium. A real options modelling approach that analyses how firms in these industries are likely to respond to an ETS through their investment behaviour is proposed as a more insightful method for public policy analysis.
Tipo: Conference Paper or Presentation
Palavras-chave: Climate change policy; Emissions trading; Investment; Real options; Environmental Economics and Policy.
Ano: 2009
URL: http://purl.umn.edu/47626

An Experimental Economic Analysis of Carbon Trading Options for Australia
Provedor de dados: 31
Autores: Tisdell,   John G.; Grainger,   Corinne.
Australia is currently developing a carbon emissions trading program. The Garnaut report recommendations include options for the allocation of carbon credits, trading schemes, banking and borrowing, and self reporting mechanisms. This paper reports the results of a series of economic experiments in which we explored spot and future markets given high and low levels of carbon credit reductions. The results provide important insights to the current debate in Australia and highlight the importance of well crafted market design.
Tipo: Conference Paper or Presentation
Palavras-chave: Climate change; Emissions trading; Compliance; Environmental Economics and Policy; Resource /Energy Economics and Policy; Q53; Q54.
Ano: 2009
URL: http://purl.umn.edu/51044

Linking the Australian Emissions Trading Scheme
Provedor de dados: 31
Autores: Jotzo,   Frank; Betz,   Regina.
A detailed proposal for an economy-wide emissions trading scheme in Australia was tabled by the government in December 2008 with a proposed start date for mid-2010. The government proposes unilateral linking, with no initial bilateral linkages, through the clean development mechanism and joint implementation. The proposal has resulted in serious concern about significant permit price increases and price capping, leading to a ban on permit sales.   This research paper evaluates the proposed Australian scheme in relation to international emissions trading and linkages. Different scenarios for the Australian permit price under unilateral linking are considered. Options for bilateral linking with the European Union and New Zealand schemes are also evaluated,...
Tipo: Report
Palavras-chave: Climate change policy; Australia; Emissions trading; International linkages; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2009
URL: http://purl.umn.edu/94814

Allocation of CO2 Emissions Allowances in the Regional Greenhouse Gas Cap-and-Trade Program
Provedor de dados: 31
Autores: Burtraw,   Dallas; Palmer,   Karen L.; Kahn,   Danny.
Cap-and-trade programs for air emissions have become the widely accepted, preferred approach to cost-effective pollution reduction. One of the important design questions in a trading program is how to initially distribute the emissions allowances. Under the Acid Rain program created by Title IV of the Clean Air Act, most emissions allowances were distributed to current emitters on the basis of a historic measure of electricity generation in an approach known as grandfathering. Recent proposals have suggested two alternative approaches: allocation according to a formula that is updated over time according to some performance metric in a recent year (the share of electricity generation or something else) and auctioning allowances to the highest bidders....
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Allowance allocations; Electricity; Air pollution; Auction; Grandfathering; Generation performance standard; Output-based allocation; Cost-effectiveness; Greenhouse gases; Climate change; Global warming; Carbon dioxide; Sulfur dioxide; Nitrogen oxides; Mercury; Environmental Economics and Policy; Q2; Q25; Q4; L94.
Ano: 2005
URL: http://purl.umn.edu/10650

Companies and Regulators in Emissions Trading Programs
Provedor de dados: 31
Autores: Kruger,   Joseph.
Much has been written about the economic and environmental performance of U.S. emissions trading programs for "acid rain" (sulfur dioxide) and nitrogen oxides. Less explored have been the unique roles and interactions of environmental regulators and the companies they regulate. I first examine how these roles change the way that regulators and companies operate within their own organizations and with each other. Next, I use examples from U.S. trading programs to illustrate the design and administrative features that allow program administrators and industry to best fulfill their respective roles. Finally, I examine briefly whether these features are present in the EU Emissions Trading System and determine the implications for its effectiveness.
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Climate change; Environmental management; Information technology; Environmental Economics and Policy.
Ano: 2005
URL: http://purl.umn.edu/10489

From SO2 to Greenhouse Gases: Trends and Events Shaping Future Emissions Trading Programs in the United States
Provedor de dados: 31
Autores: Kruger,   Joseph.
Cap-and-trade programs have become widely accepted for the control of conventional air pollution in the United States. However, there is still no political consensus to use these programs to address greenhouse gases. Meanwhile, in the wake of the success of the U.S. SO2 and NOx trading programs, private companies, state governments, and the European Union are developing new trading programs or other initiatives that may set precedents for a future national U.S. greenhouse gas trading scheme. This paper summarizes the literature on the "lessons learned" from the SO2 trading program for greenhouse gas trading, including lessons about the potential differences in design that may be necessary because of the different sources, science, mitigation options, and...
Tipo: Working or Discussion Paper
Palavras-chave: Climate change; Emissions trading; European Union; U.S. states; Corporate environmentalism; Environmental Economics and Policy.
Ano: 2005
URL: http://purl.umn.edu/10819

Restructuring and the Cost of Reducing NOx Emissions in Electricity Generation
Provedor de dados: 31
Autores: Palmer,   Karen L.; Burtraw,   Dallas; Bharvirkar,   Ranjit; Paul,   Anthony.
We look at the effects of restructuring on three issues: (a) economic surplus and environmental quality, (b) the cost of NOx control policies and who bears the costs, and (c) the cost-effectiveness of a seasonal and an annual NOx cap in the SIP Call region. We find that without the NOx cap, nationwide restructuring leads to higher NOx and carbon emissions from the electricity sector. Adding either a seasonal or an annual NOx cap-and-trade regime in the eastern United States mitigates the increase in NOx emissions but has a much smaller effect on carbon emissions. The out-of-pocket compliance cost associated with achieving a seasonal or an annual NOx cap is moderately higher with nationwide restructuring than without, but the changes in economic surplus are...
Tipo: Working or Discussion Paper
Palavras-chave: Electricity; Restructuring; Deregulation; Competition; Emissions trading; Particulates; Nitrogen oxides; NOx; Health benefits; Cost effectiveness; Environmental Economics and Policy; Q2; Q4.
Ano: 2001
URL: http://purl.umn.edu/10549

Strategic Choice of International Emissions Trading Scheme in an Open Economy with Perfect Competition
Provedor de dados: 31
Autores: Boom,   Jan Tjeerd.
Emissions trading can be organized in several ways. In particular, private emissions trading can be organized as permit trading, or as credit trading. The schemes have a different impact on output with credit trading leading to a higher output level than permit trading. This paper analyzes what the optimal choice of emissions trading scheme is in a model with international trade and perfect competition in the product and emission quota market. Furthermore, I discuss whether it is optimal for the country to allow its firms to trade emissions internationally. The paper shows that countries want to use these schemes in different circumstances, depending on whether they import or export the good. Furthermore, it is shown that in several cases, countries...
Tipo: Working or Discussion Paper
Palavras-chave: Environmental policy; Emissions trading; Credit trading; International trade; Perfect competition; Strategic behavior; Environmental Economics and Policy; F10; L51; Q25; Q28.
Ano: 2003
URL: http://purl.umn.edu/24196

An Experimental Economic Analysis of Carbon Trading Options for Australia
Provedor de dados: 31
Autores: Tisdell,   John G.; Grainger,   Corinne.
Australia is currently developing a carbon emissions trading program. The Garnaut report recommendations include options for emissions trajectories, coverage, permit allocation, inter-temporality, governance and compliance. This paper reports the results of a series of economic experiments in which we explored spot and future markets given high and low levels of carbon credit reductions. The results provide important insights to the current debate in Australia and highlight the importance of well crafted market design.
Tipo: Conference Paper or Presentation
Palavras-chave: Carbon trading; Emissions trading; Future markets; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2008
URL: http://purl.umn.edu/96661

Price effects of an emissions trading scheme in New Zealand
Provedor de dados: 31
Autores: Lennox,   James A.; Andrew,   Robbie; Forgie,   V.
Implementation of a New Zealand Emission Trading Scheme (NZ ETS) will begin in 2008, beginning with forestry, subsequently including energy and industrial emissions, and finally, agricultural GHGs from 2013. Reducing agricultural emissions is a major challenge for New Zealand as they account for over half its total GHG emissions. On the other hand, agriculture is critical to the economy, with its basic and processed products accounting for a third of exports. We use an environmental input-output model to analyse direct and indirect cost impacts of emissions pricing on food and fibre sectors. At NZ $25/t CO₂-eq, costs of energy-related emissions on the food and fibre sectors are very small; however, costs of agricultural emissions post 2013 would...
Tipo: Conference Paper or Presentation
Palavras-chave: Emissions trading; Input-output price model; Agricultural greenhouse gases; Demand and Price Analysis; Environmental Economics and Policy; Land Economics/Use.
Ano: 2008
URL: http://purl.umn.edu/6678

A Theoretical Model of Optimal Compliance Decisions under Different Penalty Designs in Emissions Trading Markets
Provedor de dados: 31
Autores: Restiani,   Phillia; Betz,   Regina.
This paper employs a theoretical model to examine compliance incentives and market efficiency under three penalty types: the fixed penalty rate, which uses a constant marginal financial penalty; the make-good provision (quantity penalty), where each missing permit in the current period is to be offset with a ratio (restoration rate) in the following period; and a mixed penalty, which combines the two penalty types. Using a simple two-period model of firm's profit maximisation, we analyse compliance decisions and the efficient penalty level under each penalty type. Firms‟ compliance strategies are modelled as an irreversible investment in abatement measures and permit buying in the market. Our findings indicate that the penalty type does not affect...
Tipo: Report
Palavras-chave: Emissions trading; Penalty design; Compliance; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2010
URL: http://purl.umn.edu/107585

Emissions Trading with Telecommuting Credits: Regulatory Background and Institutional Barriers
Provedor de dados: 31
Autores: Nelson,   Peter.
The 1999 National Telecommuting and Air Quality Act created pilot programs in five metropolitan areas in the United States to examine whether a particular type of economic incentive, tradable emissions credits created from telecommuting, represents a viable strategy for reducing vehicle miles traveled and improving air quality (H.R. 2094, 2000). Under the ecommute program, companies could generate emissions credits by reducing the vehicle miles traveled (VMT) of their workforce through telework programs. They would then be able to sell the credits to firms that needed the reductions to comply with air quality regulations. This paper provides some context for evaluating whether such a trading scheme represents a feasible approach to reducing mobile source...
Tipo: Working or Discussion Paper
Palavras-chave: Telecommuting; Emissions trading; Environmental Economics and Policy; R4; Q53; Q58.
Ano: 2004
URL: http://purl.umn.edu/10884

Optimizing Voluntary Deforestation Policy in the Face of Adverse Selection and Costly Transfers
Provedor de dados: 31
Autores: van Benthem,   Arthur A.; Kerr,   Suzi.
As part of international climate change policy, voluntary opt-in programs to reduce emissions in unregulated sectors or countries have spurred considerable discussion. Since any regulator will make errors in predicting baselines, adverse selection will reduce efficiency since participants will self-select into the program. In contrast, pure subsidies lead to full participation but require large financial transfers; this is a particular challenge across countries. A global social planner facing costless transfers would choose such a subsidy to maximize efficiency. However, any actual policy needs to be individually rational for both the buying (industrialized) and selling (developing) country. We present a simple model to analyze this trade-off between...
Tipo: Conference Paper or Presentation
Palavras-chave: Voluntary opt-in; Adverse selection; Deforestation; Offsets; Emissions trading; REDD; Agricultural and Food Policy; Community/Rural/Urban Development; Environmental Economics and Policy; Land Economics/Use; Q54; Q56.
Ano: 2010
URL: http://purl.umn.edu/96813

Cap-and-Trade: The Evolution of an Economic Idea
Provedor de dados: 31
Autores: Tietenberg,   Tom.
Over the past three decades or so, emissions trading has evolved from an idea that was little more than an academic curiosity to its current role as the centerpiece of the U.S. program to control acid rain and international programs to control greenhouse gases. This essay identifies some of the key milestones of this evolution, describes how that evolution was shaped by economic analysis, elicits some of the lessons about the design and effectiveness of emissions trading that have emerged from analysis of that evolution, and points out a few of the barriers that lie in the path of achieving a truly global carbon market.
Tipo: Journal Article
Palavras-chave: Emissions trading; Cap-and-trade; Climate policy; Environmental Economics and Policy; Political Economy; Public Economics.
Ano: 2010
URL: http://purl.umn.edu/95836

Cost-Effective Reduction of NOx Emissions from Electricity Generation
Provedor de dados: 31
Autores: Burtraw,   Dallas; Palmer,   Karen L.; Bharvirkar,   Ranjit; Paul,   Anthony.
This paper analyzes the benefits and costs of policies to reduce nitrogen oxides (NOX) emissions from electricity generation in the United States. Because emissions of NOX contribute to the high concentration of atmospheric ozone in the eastern states that is associated with health hazards, the U.S. Environmental Protection Agency (EPA) has called on eastern states to formulate state implementation plans (SIPs) for reducing NOX emissions. Our analysis considers three NOX reduction scenarios: a summer seasonal cap in the eastern states covered by EPA's NOX SIP Call, an annual cap in the same SIP Call region, and a national annual cap. All scenarios allow for emissions trading. Although EPA's current policy is to implement a seasonal cap in the SIP Call...
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Electricity; Particulates; Nitrogen oxides; NOx; Health benefits; Environmental Economics and Policy; Q2; Q4.
Ano: 2001
URL: http://purl.umn.edu/10677

Uncertainty and the Cost-Effectiveness of Regional NOx Emissions Reductions from Electricity Generation
Provedor de dados: 31
Autores: Burtraw,   Dallas; Bharvirkar,   Ranjit; McGuinness,   Meghan.
This paper analyzes uncertainties surrounding the benefits and costs of a policy to reduce nitrogen oxides (NOX) emissions from electricity generation in the eastern United States. Under each of 18 scenarios examined, we find an annual policy would yield net benefits that are at least as great as those expected under the U.S. Environmental Protection Agency's (EPA) currently planned seasonal policy. Preferred (midpoint) assumptions yield additional benefits of $724 million per year under an annual policy compared to a seasonal one (1997 dollars). The subset of 11 northeastern states benefit the most from an annual policy relative to a seasonal one, but relative net benefits are also positive in the remaining states in the region. An annual policy...
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Electricity; Particulates; Nitrogen oxides; NOX; Health benefits; Market structure; Restructuring; Deregulation; Value of statistical life; Uncertainty; Environmental Economics and Policy; Q2; Q4.
Ano: 2001
URL: http://purl.umn.edu/10846

The Effects of Penalty Design on Market Performance: Experimental Evidence from an Emissions Trading Scheme with Auctioned Permits
Provedor de dados: 31
Autores: Restiani,   Phillia; Betz,   Regina.
This paper investigates the behavioural implications of penalty designs on market performance using an experimental method. Three penalty types and two penalty levels are enforced in a laboratory permit market with auctioning, including the Australian Carbon Pollution Reduction Scheme proposed design of tying the penalty rate to the auction price. Compliance strategies are limited to undertaking irreversible abatement investment decisions or buying permits. We aim to assess how penalty design under the presence of subjects‟ risk preferences might affect compliance incentives, permit price discovery, and efficiency. In contrast to theory, we find that penalty levels serve as a focal point that indicates compliance costs and affects compliance strategies....
Tipo: Report
Palavras-chave: Emissions trading; Penalty design; Experiment; Auction; Irreversible investment; Abatement; Compliance; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2010
URL: http://purl.umn.edu/107586

The Use of Markets To Increase Private Investment in Environmental Stewardship
Provedor de dados: 31
Autores: Ribaudo,   Marc; Hansen,   LeRoy T.; Hellerstein,   Daniel; Greene,   Catherine R.
U.S. farmers and ranchers produce a wide variety of commodities for food, fuel, and fiber in response to market signals. Farms also contain significant amounts of natural resources that can provide a host of environmental services, including cleaner air and water, flood control, and improved wildlife habitat. Environmental services are often valued by society, but because they are a public good—that is, people can obtain them without paying for them—farmers and ranchers may not benefit financially from producing them. As a result, farmers and ranchers under-provide these services. This report explores the use of market mechanisms, such as emissions trading and eco-labels, to increase private investment in environmental stewardship. Such investments could...
Tipo: Report
Palavras-chave: Eco-labeling; Environmental service; Emissions trading; Market; Public good; Supply and demand; Transaction cost; Agricultural and Food Policy; Demand and Price Analysis; Environmental Economics and Policy.
Ano: 2008
URL: http://purl.umn.edu/56473

Price Floors for Emissions Trading
Provedor de dados: 31
Autores: Wood,   Peter John; Jotzo,   Frank.
Price floors in greenhouse gas emissions trading schemes can have advantages for technological innovation, price volatility, and management of cost uncertainty. Implementing the schemes, however, has pitfalls.   This research report argues that requiring firms to pay an extra fee or tax is the best way to put a price floor in place. As well as providing budgetary advantages, the fee approach is more compatible with international permit trading than the alternative approaches currently dominating academic and policy debate. The fee approach can also be used for other emissions pricing schemes.
Tipo: Report
Palavras-chave: Price floor; Price ceiling; Carbon tax; Emissions trading; Carbon pricing; Price and quality controls; Waxman-Markey Bill; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2009
URL: http://purl.umn.edu/94885

Initial Allocation Effects in Permit Markets with Bertrand Output Oligopoly
Provedor de dados: 31
Autores: Calford,   Evan M.; Heinzel,   Christoph; Betz,   Regina.
We analyse the efficiency effects of the initial permit allocation given to firms with market power in both permit and output market. We examine two models: a long- run model with endogenous technology and capacity choice, and a short-run model with fixed technology and capacity. In the long run, quantity pre-commitment with Bertrand competition can yield Cournot outcomes also under emissions trading. In the short run, Bertrand output competition reproduces the effects derived under Cournot competition, but displays higher pass-through profits. In a second-best setting of overallocation, a tighter emissions target tends to improve permit-market efficiency in the short run.
Tipo: Journal Article
Palavras-chave: Emissions trading; Initial permit allocation; Bertrand competition; EU ETS; Endogenous technology choice; Kreps and Scheinkman; Resource /Energy Economics and Policy; L13; Q28; D43.
Ano: 2010
URL: http://purl.umn.edu/95066

Output-Based Allocations of Emissions Permits: Efficiency and Distributional Effects in a General Equilibrium Setting with Taxes and Trade
Provedor de dados: 31
Autores: Fischer,   Carolyn; Fox,   Alan K.
The choice of mechanism for allocating tradable emissions permits has important efficiency and distributional effects when tax and trade distortions are considered. We present different rules for allocating carbon allowances within sectors (lump-sum grandfathering, output-based allocation [OBA], and auctioning) and among sectors (historical emissions and value-added shares). Using a partial equilibrium model, we explore how OBA mitigates price increases, limits incentives for conservation in favor of lowering energy intensity, and changes relative output prices among sectors. We then use a computable general equilibrium model from the Global Trade Analysis Project, modified to incorporate a labor/leisure choice, to compare overall mechanism performance....
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Output-based allocation; Tax interaction; Carbon leakage; Environmental Economics and Policy; Q2; Q43; H2; D61.
Ano: 2004
URL: http://purl.umn.edu/10654

The Future of Renewable Electricity in Australia
Provedor de dados: 31
Autores: Buckman,   Greg; Diesendorf,   Mark.
If long-term greenhouse gas emissions in Australia are to be reduced, renewable energy is likely to be critical. This is particularly so if deep cuts are eventually implemented. Current government policies ( including emissions trading and electricity, the feed-in tariffs announced in 2008), are likely to have only modest impacts on renewable electricity generation in Australia at least until 2020. Australia’s renewable electricity base will remain narrow with little solar technologies’ contribution before 2020. This will not provide an adequate basis for delivering long-term deep cuts to Australia’s greenhouse emissions nor for achieving major greenhouse gas emission reductions at least cost.   The future of Australia’s renewable electricity rests mainly...
Tipo: Report
Palavras-chave: Renewable electricity; Energy; Greenhouse emissions; Emissions trading; Renewable portfolio standard; Feed-in tariff.; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2009
URL: http://purl.umn.edu/94879

Towards Design For a Nutrient Trading Programme to Improve Water Quality in Lake Rotorua
Provedor de dados: 31
Autores: Kerr,   Suzi; Lauder,   Glen; Fairman,   David.
This paper explores how to enhance the role for academic research (natural sciences, economics and their integration; and stakeholder management) within the development and implementation of water quality policy in New Zealand. Our focus is on the use of market based instruments and particularly nutrient trading programmes, which are one important part of the potential tool kit to address these issues. We discuss why nutrient trading might be an appropriate instrument for the Lake Rotorua catchment. We survey the existing literature and then outline the outstanding scientific, economic and governance questions that need to be addressed to design an effective trading programme. Finally we discuss how to design a process to address these questions drawing on...
Tipo: Conference Paper or Presentation
Palavras-chave: Water quality; Emissions trading; Non-point source pollution; Nutrients; Rotorua; Communication; Learning; Resource /Energy Economics and Policy; Q53; Q57; Q58; A12.
Ano: 2007
URL: http://purl.umn.edu/9462

An Experimental Analysis of Compliance in Dynamic Emissions Markets
Provedor de dados: 31
Autores: Stranlund,   John K.; Murphy,   James J.; Spraggon,   John M.
Two important design elements for emission trading programs are whether and to what extent firms are able to bank emissions permits, and how these programs are to be enforced. In this paper we present results from laboratory emissions markets designed to investigate enforcement and compliance when these markets allow permit banking.  Banking is motivated by a decrease in the aggregate permit supply in the middle of multi-period trading sessions. Consistent with theoretical insights, our experiments suggest that high permit violation penalties have little deterrence value in dynamic emissions markets, and that the main challenge of enforcing these programs is to motivate truthful self-reports of emissions.
Tipo: Working or Discussion Paper
Palavras-chave: Compliance; Enforcement; Emissions trading; Laboratory experiments; Permit markets; Permit banking; Environmental Economics and Policy; Public Economics; C91; L51; Q58.
Ano: 2010
URL: http://purl.umn.edu/93966

Efficient Emission Fees in the U.S. Electricity Sector
Provedor de dados: 31
Autores: Banzhaf,   H. Spencer; Burtraw,   Dallas; Palmer,   Karen L.
This paper provides new estimates of efficient emission fees for sulfur dioxide (SO2) and nitrogen oxides (NOX) emissions in the U.S. electricity sector. The estimates are obtained by coupling a detailed simulation model of the U.S. electricity markets with an integrated assessment model that links changes in emissions with atmospheric transport, environmental endpoints, and valuation of impacts. Efficient fees are found by comparing incremental benefits with emission fee levels. National quantity caps that are equivalent to these fees also are computed, and found to approximate caps under consideration in the current multi-pollutant debate in the U.S. Congress and the recent proposals from the Bush administration for the electricity industry. We also...
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Emission fees; Air pollution; Cost-benefit analysis; Electricity; Particulates; Nitrogen oxides; NOx; Sulfur dioxide; SO2; Health benefits; Environmental Economics and Policy; Q2; Q4; D61.
Ano: 2002
URL: http://purl.umn.edu/10505

The Evolution of NOx Control Policy for Coal-Fired Power Plants in the United States
Provedor de dados: 31
Autores: Burtraw,   Dallas; Evans,   David A.
Emissions of nitrogen oxides (NOx ) contribute to formation of particulate matter and ozone, and also to acidification of the environment. The electricity sector is responsible for about 20% of NOx emissions in the United States, and the sector has been the target of both prescriptive (command-and-control) and flexible (cap-and-trade) approaches to regulation. We summarize the major NOx control policies affecting this sector, and provide some perspectives as to their effectiveness. While both prescriptive and flexible approaches continue to play an important role, significant new proposals have wholly embraced a cap-and-trade approach.
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Cap and trade; Air pollution; Cost-benefit analysis; Electricity; Particulates; Ozone; Nitrogen oxides; Acid rain; Environmental Economics and Policy; Q25; Q4; D62; Q28.
Ano: 2003
URL: http://purl.umn.edu/10645

Auctioning Greenhouse Gas Emissions Permits in Australia
Provedor de dados: 31
Autores: Betz,   Regina; Seifert,   Stefan; Cramton,   Peter; Kerr,   Suzi.
Allocating permits based on individual historical emissions (‘grandfathering’), or industry benchmark data, is an important design aspect of an emissions trading scheme. Free permit allocation has proven complex and inefficient (particularly in the European Union) with distribution implications also politically difficult to justify. For these reasons, auctioning emissions permits has become more popular than allocating permits.   The European Union is now moving towards auctioning more than 50 per cent of all permits in 2013. In the US, the Regional Greenhouse Gas Initiative (RGGI) has started with auctioning 100 per cent of permits. The Australian proposal for a Carbon Pollution Reduction Scheme (CPRS) also provides for auctioning a significant share of...
Tipo: Report
Palavras-chave: Climate policy; Greenhouse gases; Auctions; Emissions trading; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2009
URL: http://purl.umn.edu/94878

The Effect of Pollution Permit Allocations on Firm-Level Emissions
Provedor de dados: 31
Autores: Fowlie,   Meredith; Perloff,   Jeffrey M.
According to the Coase theorem, if property rights to pollute are clearly established and emissions markets nearly eliminate transaction costs, the market equilibrium will be independent of how the permits are initially allocated across firms. Using panel data from Southern California's RECLAIM program, we find that initial allocations are a statistically significant determinant of firm-level emissions. This relationship between allocation and emissions is stronger among firms with relatively high transaction costs. Thus, care must be exercised in the initial allocation of permits to ensure efficiency.
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Transaction costs; Environmental Economics and Policy.
Ano: 2004
URL: http://purl.umn.edu/25116

Imperfect Enforcement of Emissions Trading and Industry Welfare: A Laboratory Investigation
Provedor de dados: 31
Autores: Stranlund,   John K.; Murphy,   James J.; Spraggon,   John M.
This paper uses laboratory experiments to investigate the performance of emission permit markets when compliance is imperfectly enforced. In particular we examine deviations in observed aggregate payoffs and expected penalties from those derived from a model of risk-neutral payoff-maximizing firms. We find that the experimental emissions markets were reasonably efficient at allocating individual emission control choices despite imperfect enforcement and significant noncompliance. However, violations and expected penalties were lower than predicted when these are predicted to be high, but were about the same as predicted values when these values were predicted to be low.  Thus, although a standard model of compliance with emissions trading programs tends to...
Tipo: Working or Discussion Paper
Palavras-chave: Enforcement; Compliance; Emissions trading; Permit markets; Pollution; Laboratory experiments; Environmental Economics and Policy; Public Economics; C91; L51; Q58.
Ano: 2008
URL: http://purl.umn.edu/42124

Do baseline requirements hinder trades in water quality trading programs?
Provedor de dados: 31
Autores: Ribaudo,   Marc; Ghosh,   Gaurav S.; Shortle,   James S.
The Environmental Protection Agency and the U.S. Department of Agriculture are promoting point/nonpoint trading as a way of reducing the costs of meeting water quality goals while giving nonpoint sources a larger role in meeting those goals.  Farms can create offsets or credits in a point/nonpoint trading program by implementing management practices such as conservation tillage, nutrient management, and buffer strips.  To be eligible to sell credits, farmers must first comply with baseline requirements.  The EPA defines a baseline as the pollutant control requirements that apply to a seller in the absence of trading.  EPA guidance recommends that the baseline for nonpoint sources be management practices that are consistent with the water quality goal.  A...
Tipo: Conference Paper or Presentation
Palavras-chave: Nonpoint pollution; Emissions trading; Management practices; Environmental Economics and Policy.
Ano: 2009
URL: http://purl.umn.edu/49258

Emissions Trading and the Convergence of the Australian Electricity and Transport Markets
Provedor de dados: 31
Autores: Reedman,   Luke J.; Graham,   Paul W.
Bottom up partial equilibrium modelling of the energy sector has tended to focus on the electricity sector given its typically large share of total emissions, the deregulation of that market in many countries and the relatively well understood technology options. In contrast, this paper employs a model of the energy sector to investigate the proportion electricity and transport may contribute given the relative cost of abatement in those sectors, for specified emission targets. A related issue is the potential convergence of the two sectors through greater uptake of electrically powered transport.
Tipo: Conference Paper or Presentation
Palavras-chave: Energy; Emissions trading; Electricity and transport; Integrated modelling; Environmental Economics and Policy; Public Economics.
Ano: 2008
URL: http://purl.umn.edu/6042

Using Emissions Trading to Regulate U.S. Greenhouse Gas Emissions: An Overview of Policy Design and Implementation Issues
Provedor de dados: 31
Autores: Fischer,   Carolyn; Kerr,   Suzi; Toman,   Michael.
In Kyoto in 1997, the US government agreed that between 2008 and 2012 it would limit average annual emissions of greenhouse gases (GHGs) to seven percent below 1990 levels. As participants in the climate policy debate consider various means by which limits on US GHG emissions might be undertaken in the wake of the Kyoto agreement, there is considerable interest but also some confusion about how a GHG trading program could be organized and operated in practice. In this paper we address several aspects of policy design for a US system, such as who and what is covered by regulation, the organization of the trading system, how carbon permits are allocated, and how a system could be initiated and changed over time. The paper synthesizes existing analyses and...
Tipo: Working or Discussion Paper
Palavras-chave: Climate change; Emissions trading; Environmental policy design; Environmental Economics and Policy; Q25; Q28.
Ano: 1998
URL: http://purl.umn.edu/10501

CO2 Allowance Allocation in the Regional Greenhouse Gas Initiative and the Effect on Electricity Investors
Provedor de dados: 31
Autores: Burtraw,   Dallas; Kahn,   Danny; Palmer,   Karen L.
The Regional Greenhouse Gas Initiative (RGGI) is an effort by nine Northeast and Mid-Atlantic states to develop a regional, mandatory, market-based cap-and-trade program to reduce greenhouse gas (GHG) emissions from the electricity sector. The initiative is expected to lead to an increase in the price of electricity in the RGGI region and beyond. The implications of these changes for the value of electricity-generating assets and the market value of the firms that own them depends on the initial allocation of carbon dioxide allowances, the composition of generating assets owned by the firm, and the locations of those assets. Changes in asset values inside the RGGI region may be positive or negative, whereas changes outside of the RGGI region are almost...
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Allowance allocations; Electricity; Air pollution; Auction; Grandfathering; Generation-performance standard; Output-based allocation; Cost-effectiveness; Greenhouse gases; Climate change; Global warming; Carbon dioxide; Asset value; Environmental Economics and Policy; Q2; Q25; Q4; L94.
Ano: 2005
URL: http://purl.umn.edu/10495

Grandfathering and greenhouse: the role of compensation and adjustment assistance in the introduction of a carbon emissions trading scheme for Australia
Provedor de dados: 31
Autores: Menezes,   Flavio; Quiggin,   John C.; Wagner,   Liam.
The terms ‘grandfather clause’ and ‘grandfathering’ describe elements of a policy program in which existing participants in an activity are protected from the impact of regulations, restrictions or charges applied to new entrants. In this paper, the role of grandfathering in the design of a carbon emissions trading scheme in Australia is assessed. It is argued that adjustment assistance policies such as those adopted in conjunction with previous microeconomic reform programs are preferable to policies based on the free issue of emissions permits.
Tipo: Conference Paper or Presentation
Palavras-chave: Grandfathering; Emissions trading; Compensation; Adjustment assistance.
Ano: 2009
URL: http://purl.umn.edu/48042

The challenges of finding efficient policy measures to reduce Australia’s agricultural Greenhouse gas emissions
Provedor de dados: 31
Autores: King,   Helen.
A comprehensive emissions trading scheme (ETS) is Australia’s principal climate change policy instrument.  There are undoubtedly benefits of full ETS coverage. However, if emissions that cannot be affordably, reasonably and accurately measured are included, these must be balanced against potential costs.    This report explores why agriculture is different from other sectors. Agriculture’s diffuse and diverse emissions are inherently difficult to measure. They also fluctuate in response to environmental factors such as climate and biophysical characteristics. It is problematic to include the agriculture sector in the ETS, at reasonable cost and with incentives for behaviour change at the emission source. This is because of the climate and biophysical...
Tipo: Report
Palavras-chave: Agriculture; Greenhouse; Abatement; Emissions trading; Agricultural and Food Policy; Environmental Economics and Policy.
Ano: 2008
URL: http://purl.umn.edu/94809

The EU Emissions Trading Directive: Opportunities and Potential Pitfalls
Provedor de dados: 31
Autores: Kruger,   Joseph; Pizer,   William A.
The European Union is on the verge of establishing an emissions trading program ten times the size of the Acid Rain trading program in the United States. Its design takes advantage of many lessons from existing experience with trading programs, as well as economic theory, and innovates in important ways. While we view this as an impressive development, concerns about equity, enforcement, and efficiency remain. Specifically, a lack of data and weaker environmental institutions in some EU Member States raises questions about both allowance allocations and compliance and enforcement. Although much attention has focused on whether prices will be "too low" in the first phase of the program, a greater risk is that uncertainty about program elements, technology...
Tipo: Working or Discussion Paper
Palavras-chave: European Union; Climate change; Emissions trading; Environmental Economics and Policy.
Ano: 2004
URL: http://purl.umn.edu/10679

Distributing pollution rights in cap-and-trade programs: are outcomes independent of allocation?
Provedor de dados: 31
Autores: Fowlie,   Meredith; Perloff,   Jeffrey M.
According to the Coase theorem, if property rights to pollute are clearly established and emissions permit markets nearly eliminate transaction costs, the permit market equilibrium will be independent of how the permits are initially distributed among …firms. Testing the independence of …firms' permit allocations and emissions is difficult because of endogeneity and omitted variable bias. We exploit the random assignment of …firms to different permit allocation cycles in Southern California's RECLAIM Program to test for a causal relationship between facility-level emissions and initial permit allocations. Our primary …finding is that a null hypothesis of zero effect cannot be rejected.
Tipo: Working or Discussion Paper
Palavras-chave: Air pollution; Emissions trading; Transaction costs; Environmental Economics and Policy; D21; D23; H11; Q50; Q53; Q58.
Ano: 2008
URL: http://purl.umn.edu/47002

Combining Rate-Based and Cap-and-Trade Emissions Policies
Provedor de dados: 31
Autores: Fischer,   Carolyn.
Rate-based emissions policies (like tradable performance standards) fix average emissions intensity, while cap-and-trade policies fix total emissions. This paper shows that unfettered trade between rate-based and cap-and-trade programs always raises combined emissions, except when product markets are related in particular ways. Gains from trade are fully passed on to consumers in the rate-based sector, resulting in more output and greater emissions allocations. We consider a range of policy options to offset the expansion, including unilateral ones when jurisdictional differences require. The cap-and-trade jurisdiction could impose an "exchange rate" to adjust for relative permit values, but marginal abatement cost equalization is sacrificed. Still, that...
Tipo: Working or Discussion Paper
Palavras-chave: Emissions trading; Permit allocation; Tradable performance standards; Climate; Greenhouse gases; Environmental Economics and Policy; H23; H3; Q2; Q48.
Ano: 2003
URL: http://purl.umn.edu/10713

Russlands Ratifikation des Kyoto-Protokolls - ein kritisches Pladoyer
Provedor de dados: 31
Autores: Schwerd,   Joachim.
At the beginning of December 2003 the ninth conference of the parties (COP) of the UN framework convention on climate change (Rio declaration 1992) will take place. This meeting is crucial as it depends only on Russia's ratification to get the Kyoto protocol started soon. This paper reflects the current state of the protocol and highlights the particular features of COP 9, e.g. the double ratification hurdle, which - as a technical speciality of the protocol - was suitable to strengthen Russia's position in these negotiations up to now. It will be discussed, why Russia shall comply with the protocol for its own sake, too. Only one of the flexible Kyoto instruments is considered hereby: emissions trading. Two arguments are used for making the point, that it...
Tipo: Working or Discussion Paper
Palavras-chave: Kyoto protocol; Emissions trading; Dynamic efficiency; Russia; Environmental Economics and Policy; B52; D78; D90; F18.
Ano: 2003
URL: http://purl.umn.edu/26184

Strategic Choice of Domestic Environmental Policy Instrument and International Emissions Trading Scheme in an Open Economy with Imperfect Competition
Provedor de dados: 31
Autores: Boom,   Jan Tjeerd.
This paper presents a model of imperfect international competition. Within this framework, the optimal choice of national environmental policy instrument and international emissions trading scheme is discussed. The choice of national instrument is restricted to absolute and relative standards, which form the basis for permit and credit trading respectively. It is shown that relatives standards and credit trading lead to higher output than emission ceilings and permit trading. I find that governments want to increase production beyond the level reached with emission ceilings and therefore prefer relative standards. Furthermore, international emissions trading is only optimal when the country imports emission quotas, and in several cases, governments will...
Tipo: Working or Discussion Paper
Palavras-chave: Environmental policy; Emissions trading; Credit trading; International trade; Imperfect competition; Strategic behavior; Environmental Economics and Policy; F12; L51; Q25; Q28.
Ano: 2003
URL: http://purl.umn.edu/24177

Fiddling while carbon burns: why climate policy needs emission pervasive pricing as well as technology promotion
Provedor de dados: 31
Autores: Pezzey,   John C.V.; Jotzo,   Frank; Quiggin,   John C.
Effective climate policy requires global emissions of greenhouse gases to be cut substantially, which in energy sectors can be achieved by lower emissions supply technologies, greater energy use efficiency, and substitution in demand. For policy to be efficient requires fairly uniform, pervasive emission pricing from taxes, permit trading, or hybrid combinations of the two, as well as significant government support for low-emission technologies. We compare the kind of technology-focused climate policies currently adopted by Australia and the USA, the ‘'Asia-Pacific Partnership on Clean Development and Climate'’ (AP6), against this ideal policy yardstick. We find they omit the need for emission pricing to achieve abatement effectively and efficiently; they...
Tipo: Conference Paper or Presentation
Palavras-chave: Greenhouse gas emissions; Abatement; Emission taxes; Emissions trading; Technology policy; Innovation; Asia-Pacific Partnership; AP6; Environmental Economics and Policy.
Ano: 2007
URL: http://purl.umn.edu/10395